Defiant Biden Regime Forgives Students Loans to Hundreds of Thousands of Borrowers – Comes Two Weeks After Supreme Court Ruling
The Biden Education Department announced it would “automatically forgive” student loans to hundreds of thousands of followers despite a Supreme Court ruling striking down another student loan scheme just two weeks ago.
As reported by ABC News, Education Department officials announced Friday that are forgiving the debts of 804,000 borrowers to supposedly fix what they called “administration failures.”
These borrowers are individuals who have been paying their loans back through income-driven repayment plans. This allows debts to be forgiven once they’ve been paid for 20 or 25 years.
Education Secretary Miguel Cardona said in a statement these borrowers would be getting the forgiveness they deserve.
For far too long, borrowers fell through the cracks of a broken system that failed to keep accurate track of their progress towards forgiveness.
By fixing past administrative failures, we are ensuring everyone gets the forgiveness they deserve, just as we have done for public servants, students who were cheated by their colleges, and borrowers with permanent disabilities, including veterans.
Fixing these past mistakes will come at a cost to taxpayers. The DOE notes these fixes these past “administration failures” will total $39 billion.
These 804,000 borrowers will be notified on Friday by the Department of Education and relief will begin 30 days later. Individuals who do not want debts discharged are encouraged contact their loan service providers.
This new plan is part of previous “fixes” to other programs the Regime believes were failing borrowers. ABC News notes that this includes $45 billion to people enrolled in Public Service Loan Forgiveness who weren’t getting the debt relief and $22 billion to borrowers who were defrauded by for-profit colleges.
The move by the Education Department is quite audacious considering the Supreme Court struck down Joe Biden’s lawless program to cancel debt relief back in June.
As Gateway Pundit readers know, this program would have cancelled $10,000 worth of loans for most student borrowers and $20,000 for Pell Grant recipients.
There is no word yet on whether Biden’s newest student loan debt relief scheme will be challenged in the court system.